New earnings stream for Wegmans

“Based on our estimate, Wegmans could see an earnings uplift of 9%-20% in FY21-FY22 while earnings per share is expected to only increase by 3%-9%, given the dilution effect from new share issuance, ” Publicinvest research said in a note, while maintaining its “outperform” recommendation.recommendation.

PETALING JAYA: PublicInvest Research is optimistic over Wegmans Holdings Bhd’s acquisition of equity in Wison Screw Industries Sdn Bhd (WSI) as it provides better synergies and generate a new earnings stream.

“Based on our estimate, Wegmans could see an earnings uplift of 9%-20% in FY21-FY22 while earnings per share is expected to only increase by 3%-9%, given the dilution effect from new share issuance, ” it said in a note, while maintaining its “outperform” recommendation.